Ripple has transferred a staggering 200 million XRP, worth over $109 million, to an unknown wallet, sparking speculation about the reason behind the move.
While the company hasn’t offered an official explanation, many in the crypto community believe it could be linked to Ripple’s ongoing legal battle with the U.S. Securities and Exchange Commission (SEC).
Ripple’s Chief Legal Officer, Stuart Alderoty, expressed confidence in the firm’s position regarding the SEC lawsuit. The case centers on the SEC’s claim that XRP is an unregistered security.
Alderoty believes the upcoming ruling from the U.S. Second Circuit Court of Appeals will either uphold or expand the previous decision made by Judge Analisa Torres, which largely favored Ripple.
Alderoty humorously referenced the SEC’s ongoing pursuit of Ripple, likening it to Captain Ahab chasing Moby Dick, suggesting that the SEC’s efforts might be misguided.
Alderoty emphasized that the Fair Notice Defense, which argues Ripple lacked clear guidance from the SEC about XRP’s regulatory status, remains crucial for their case.
Additionally, speculation has arisen that the XRP transfer could be linked to political donations, particularly after Ripple founder Chris Larsen donated $10 million to a super PAC supporting Vice President Kamala Harris. However, there is no confirmation of this theory.
As Ripple awaits the appellate court’s decision, the outcome could significantly influence the future of cryptocurrency regulation in the U.S.
Also Read: SEC Appeals Ripple Court Ruling on XRP Status as Security
